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DEBT AND NON-RECOURSE DEBT
 6 Months Ended
Jun. 30, 2026
Debt Disclosure [Abstract]  
DEBT AND NON-RECOURSE DEBT DEBT AND NON-RECOURSE DEBT
Debt
The following table details our outstanding debt balance and its associated interest rates:
($ in millions)
Interest Rate
June 30, 2026December 31, 2025
Debt(1)
Senior secured credit facility
Term loan A due 2028
5.294 %$400 $400 
Term loan B due 2028
5.644 %847 851 
Term loan B due 2031
5.644 %882 887 
Revolver due 2030(2)
5.275 %465 130 
Senior notes due 2029
5.000 %850 850 
Senior notes due 2031
4.875 %500 500 
Senior notes due 2032
6.625 %900 900 
Other debt
82 85 
Total debt, gross4,926 4,603 
Less: unamortized deferred financing costs and discounts(3)
(50)(58)
Total debt, net$4,876 $4,545 
(1)As of June 30, 2026 and December 31, 2025, weighted-average interest rates were 5.626% and 5.691%.
(2)Unamortized deferred financing costs of $2 million and $3 million as of June 30, 2026 and December 31, 2025 related to our revolving facility are included in Other assets in our condensed consolidated balance sheets.
(3)Amount includes unamortized deferred financing costs of $46 million and $53 million as of June 30, 2026 and December 31, 2025. This amount also includes unamortized original issuance discounts of $4 million and $5 million as of June 30, 2026 and December 31, 2025.
Senior secured credit facility
As of June 30, 2026, we had $72 million of letters of credit outstanding under the revolving credit facility and $1 million outstanding backed by cash collateral. We were in compliance with all applicable maintenance and financial covenants and ratios as of June 30, 2026. As of June 30, 2026, we have $463 million remaining borrowing capacity under the revolver facility.
On July 17, 2026, we refinanced our Term Loan B due 2028 with an amended $850 million Term Loan B due 2033. The Term Loan B pricing remained unchanged at SOFR plus 2.00%.
We primarily use interest rate swaps as part of our interest rate risk management strategy for our variable-rate debt. These interest rate swaps are associated with the SOFR-based senior secured credit facility. As of June 30, 2026, these interest rate swaps convert the SOFR-based variable rate on our Term Loan B due 2028 to average fixed rates of 1.55% per annum with maturities between 2026 and 2028, for the balance on this borrowing up to the notional values of our interest rate swaps. As of June 30, 2026, the aggregate notional values of the interest rate swaps under our Term Loan B due 2028 was $550 million. Our interest rate swaps have been designated and qualify as cash flow hedges of interest rate risk and recorded at their estimated fair value as an asset in Other assets in our condensed consolidated balance sheets. As of each of June 30, 2026 and December 31, 2025, the estimated fair value of our cash flow hedges was $18 million. We characterize payments we make in connection with these derivative instruments as interest expense and a reclassification of accumulated other comprehensive loss for presentation purposes. We classify cash inflows and outflows from derivatives that hedge interest rate risk within operating activities in the unaudited condensed consolidated statements of cash flows.
The following table reflects the activity, net of tax, in Accumulated other comprehensive loss related to our derivative instruments during the six months ended June 30, 2026:
Net unrealized gain on derivative instruments
Balance as of December 31, 2025
$14 
Other comprehensive loss before reclassifications, net
4 
Reclassifications to net income
(4)
Balance as of June 30, 2026
$14 
Senior Notes due 2032
The Senior Notes due 2032 are guaranteed on a senior secured basis by certain of our subsidiaries. We were in compliance with all applicable financial covenants as of June 30, 2026.
Senior Notes due 2029 and 2031
The Senior Unsecured Notes are guaranteed on a senior unsecured basis by certain of our subsidiaries. We are in compliance with all applicable financial covenants as of June 30, 2026.
Cash paid for interest on our corporate debt, net was $137 million and $148 million for the six months ended June 30, 2026 and 2025.
Non-recourse Debt
The following table details our outstanding non-recourse debt balance and associated interest rates:
($ in millions)Weighted Average Interest RateJune 30, 2026December 31, 2025
Non-recourse debt(1)
Timeshare Facility due 2029(2)
4.779 %$245 $615 
Securitized Debt due 2034- 2045(3)
5.056 %2,668 2,106 
Quorum Purchase Facility due 2034
5.023 %3 4 
NBA Receivables Facility due 2031
5.394 %17 26 
Total non-recourse debt, gross2,933 2,751 
Less: unamortized deferred financing costs and discount(4)
(37)(35)
Total non-recourse debt, net$2,896 $2,716 
(1)As of June 30, 2026 and December 31, 2025, weighted-average interest rates were 5.035% and 5.019%.
(2)Unamortized deferred financing costs of $2 million as of June 30, 2026 relating to the Timeshare Facility included in Other Assets in our consolidated balance sheet.
(3)Interest rates as of June 30, 2026 range from 1.410% to 6.614%.
(4)Amount includes unamortized deferred financing costs of $34 million and $30 million as of June 30, 2026 and December 31, 2025, and unamortized discounts of $3 million and $5 million as of June 30, 2026 and December 31, 2025.
Timeshare Facility
The Timeshare Facility is a non-recourse obligation payable solely from the pool of timeshare financing receivables pledged as collateral and related assets. In May 2026, we renewed our Timeshare Facility agreement under new terms, which included increasing the facility size from $850 million to $1.0 billion, extending the commitment and maturity period to May 2028 and May 2029, respectively, and permitting to pledge as collateral certain Elara timeshare loans. Concurrently with the renewal, we terminated the Elara Timeshare Facility agreement assumed as a result of the Elara Acquisition. As of June 30, 2026, our Timeshare Facility has a remaining borrowing capacity of $755 million.
Securitized Debt
In April 2026, we completed a securitization of approximately $500 million of gross timeshare financing receivables and issued approximately $210 million of 4.67% notes, $161 million of 5.01% notes, $83 million of 5.36% notes and $46 million of 7.21% due February 2043. The advance rate for this transaction was 98%. The issued notes are backed by pledged assets, consisting of a pool of HGV, Diamond Resorts, and Bluegreen Vacations collateral combined, secured by first mortgages, first deeds of trust, membership interests or timeshare interests (other than a fee simple interest in real estate) and a letter of credit. The notes are a non-recourse obligation and are payable solely from the timeshare financing receivables pledged as collateral for the notes. The proceeds of the notes were used to pay down debt and for other general corporate purposes. Additionally, in connection with the securitization, we incurred $6 million in debt issuance costs.
In June 2026, we completed a securitization of approximately $300 million of gross timeshare financing receivables and issued approximately $119 million of 4.83% notes, $99 million of 5.10% notes, $51 million of 5.54% notes and $31 million of 6.00% due March 2045. The advance rate for this transaction was 98%. The issued notes are backed by pledged assets, consisting of a pool of HGV, Diamond Resorts, and Bluegreen Vacations collateral combined, secured by first mortgages, first deeds of trust, membership interests or timeshare interests (other than a fee simple interest in real estate) and a letter of credit. The notes are a non-recourse obligation and are payable solely from the timeshare financing receivables pledged as collateral for the notes. The proceeds of the notes were used to pay down in part some of our
existing debt and for other general corporate purposes. Additionally, in connection with the securitization, we incurred $5 million in debt issuance costs.
As part of the Elara Acquisition, we assumed securitized debt which was collateralized by the acquired timeshare financing receivables. They have been aggregated for disclosure purposes as they are similar in nature to our historical securitized transactions.
We are required to deposit payments received from customers on the timeshare financing receivables securing the Timeshare Facility and Securitized Debt into depository accounts maintained by third parties. On a monthly basis, the depository accounts are utilized to make required principal, interest and other payments due under the respective loan agreements. The balances in the depository accounts were $120 million and $142 million as of June 30, 2026 and December 31, 2025, and were included in Restricted cash in our condensed consolidated balance sheets.
NBA Receivables Facility
Recourse on the NBA Receivables Facility is generally limited to the greater of 15% of the outstanding borrowings and $5 million, subject to certain exceptions.
Debt Maturities
The contractual maturities of our debt and non-recourse debt as of June 30, 2026 were as follows:
($ in millions)DebtNon-recourse DebtTotal
Year
2026 (remaining six months)$12 $338 $350 
202722 575 597 
20281,257 469 1,726 
2029871 620 1,491 
2030483 298 781 
Thereafter2,281 633 2,914 
Total$4,926 $2,933 $7,859